Despite the continuous scrutinization of Petro, Venezuela seems to have big plans for the nation’s crypto, to use it for creating a new crypto bank for students, and youth in general. The funding of the venture will include 20 million Petros, or around $1.2 billion.
Petro remains strong
Ever since Venezuela’s Petro was announced, there have been mixed feelings about it. The initial excitement about it has calmed down a bit, but there remain questions about this currency’s future that require answers. However, even if there were no real reasons for the rest of the world to care about Petro, that might change soon.
Venezuela’s latest announcement states that the country’s government is planning a new venture, which will take a form of a new type of crypto bank. Making such a move will have consequences and is crucial for several reasons, not least of which being, it will use Petro as its currency.
It is expected to relieve some of the financial concerns that the country has had to deal with. Even though the country itself is known for financial insecurity, it still managed to set up a cryptocurrency, and if the government pulls off the new crypto bank, it might be a real game changer for this nation.
A bank for youth, instead of adults
Rather than having a regular bank that deals in cryptos, the country is dedicating it to its youth and its students. This is seen by many as the country’s declaration of high hopes for future generations. Even though it may be true that exposing the youth to the workings of digital currencies might lead to a greater knowledge base and swifter adoption, it still remains to be seen how this will work in practice.
This is a massive undertaking and finding funds for it in a country with financial issues is not going to be easy even with a detailed plan already worked out by the government. The current funding for the bank is valued at $1.2 billion, or 20 million Petros. Pulling off a project like this will prove that Petro actually has a real-world value, which may be one of the goals.
Nicolas Maduro, the country’s president, has stated that he highly values all of the country’s schools and universities, and that all such institutions need their own crypto farms to mine digital currencies. It was not specified whether this includes only Petro or all cryptos in general.
A large venture like this comes with concerns and as-yet-unanswered questions such as those around the value of Petro, which is still not completely stable but manages to hold its ground thanks to backing by the country’s oil reserves.
However, it still remains to be seen whether or not it can be used in the real world. Despite the fact that the nation is making a concerted effort to provide a better future for its students, there are still many challenges that it will have to rise up to in order to secure it.